Just Sold: Raser Technologies (RZ)

Raser
Technologies (NYSE:RZ) did not get the hoped-for DOE loan guarantee.
The company still has good long term prospects, but the short term upside
chances are much weaker, prompting me to sell in the hope of buying back in
after a general market sell-off.

Raser
Technologies (NYSE:RZ) dropped from $2.10 to $1.95 on September 1st,
prompting a regular reader to leave a comment asking
me if it was time to sell on the original Raser
article. (Because he's a regular, he knows my policy of preferring to answer
questions posed as comments on the blog to email comments: At the time, I did
not see any new news, so I assumed the 7% drop was just part of the general
sell-off on Monday.

With the loan guarantee no longer an option, there are still plenty of other
possibilities, such as receiving ARRA funding, or working out some sort of
customer financing arrangement, like the pre-paid
PPAs Raser has been working on. I think these may take some time to
come to fruition, and in the meantime, I'm still worried about a general market
decline, which should hurt Raser as well.

I sold the majority of my positions at $1.78 on Sept 2 (a 12-13% loss).
I'm going to wait and see what happens to the stock over the next few months
before I buy it back, just like the other 39 stocks on my Clean
Energy Shopping List. I do still own a few option positions on Raser,
because options are much less liquid than the stock itself, and they're harder
to sell in a hurry.

DISCLOSURE: Tom Konrad and/or his clients have long positions
in RZ.
DISCLAIMER: The information and trades provided here and in the comments are for
informational purposes only and are not a solicitation to buy or sell any of
these securities. Investing involves substantial risk and you should evaluate
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indication of future performance. Please take the time to read the full
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